Dive Summary:
- Twin City Fire Insurance Co. explained in a Friday legal filing in that it is refusing to pay legal fees for Ronald Offutt Jr., the chairman of Idahoan Foods LLC, as he faces a lawsuit over price-fixing in the potato industry.
- Offutt is suing the insurance company for breach of contract, though Twin City wants the suit dismissed, arguing that the price-fixing suit did not "arise solely by reason of his serving" in his chairman role at Idahoan Foods, which is listed on the insurance policy.
Dive Insight:
The UPGA has cited the 1922 Capper-Volstead Act, arguing that its farmers should be exempt from antitrust rules, while the Associated Wholesale Grocers Inc. claims that Offutt and other defendants are responsible for artificially driving up prices on spuds.